Fewer Americans apply for jobless benefits as labor market keeps humming along

Applications for unemployment benefits fell again last week as America’s labor market continues to hum along despite attempts by the Federal Reserve to cool the economy and bring down inflation that’s still higher than optimal.

The number of Americans applying for jobless benefits fell last week by 10,000, to 230,000 the week ending August 19, the Labor Department reported Thursday.

The four-week moving average of claims, a less volatile measure, rose by 2,250 to 236,750.

Jobless claim applications are seen as reflective of the number of layoffs in a given week.

In an attempt to bring down four-decade high inflation, the Federal Reserve raised interest rates 11 times in the past year-and-a-half to the current 5.4%, a 22-year high.

Part of the Fed’s reasoning was to cool the job market and bring down wages, which many economists believe suppresses price growth. Though inflation has come down significantly during that stretch, the job market has held up better than many anticipated.

Early this month, the government reported that U.S. employers added 187,000 jobs in July, fewer than expected, but still a reflection of a healthy labor market. The unemployment rate dipped to 3.5%, close to a half-century low.

President Joe Biden is celebrating the one-year anniversary of the Inflation Reduction Act, his landmark climate, health and tax law, declaring his administration is “turning things around” for Americans when it comes to the economy. (Aug. 16)

Job openings in June fell a tick below 9.6 million, the fewest in more than two years. However, the numbers remain unusually robust considering monthly job openings never topped 8 million before 2021.

The government updates both of those reports next week.

Besides some layoffs in the technology sector early this year, companies have mostly been trying to retain workers.

However, in a filing with the Securities and Exchange Commission on Thursday, phone carrier T-Mobile said it was cutting its workforce by just less than 7%. That works out to about 5,000 jobs.

Many businesses struggled to replenish their workforces after cutting jobs during the pandemic, and sizable amount of the ongoing hiring likely reflects efforts by firms to catch up to elevated levels of consumer demand that emerged since the pandemic recession.

While the manufacturing, warehousing, and retail industries have slowed their hiring in recent months, they aren’t yet cutting jobs in large numbers. Given the difficulties in finding workers during the past two years, businesses will likely hold onto them as long as possible, even if the economy weakens.

Overall, 1.7 million people were collecting unemployment benefits the week that ended August 12, about 9,000 fewer than the previous week.

Panorama Hispano is the regional news and information newspaper for Hispanic and other diverse communities.

US Hispanics are now the largest ethnic minority in the United States numbering 54.2 million as of July 2014. Serving: Buffalo, Rochester, Fredonia, Niagara Falls, NY and Erie, PA. Outside our Market area: Visit our affiliate at: http://www.impremedia.com/

Contact us: Contact@PanoramaHispanoNews.com

Featured News

Jun 13, 2024
Atlanta Falcons forfeit fifth-round pick, fined for tampering with Kirk Cousins

The Atlanta Falcons were stripped of a fifth-round pick in next year’s draft on Thursday for violating the NFL’s anti-tampering […]

Read More
Jun 13, 2024
Tony Award host Ariana DeBose says viewers should expect a ‘full Broadway experience’

NEW YORK (AP) — Ariana DeBose promises Sunday’s Tony Awards will move “like a Broadway show.” “This is Broadway’s biggest night. Why not give […]

Read More
Jun 13, 2024
Tribunal Supremo ratifica el acceso a la píldora abortiva

La Corte Suprema protegió el jueves por unanimidad el acceso a una píldora abortiva que fue usada en casi dos tercios de todos los […]

Read More

popular categories

Featured (5,079)
Mundo Latino (2,012)
Locales / Regional (1,105)
Buffalo (2,044)
Dunkirk (1,610)
Rochester (1,590)
PA (1,191)
Negocios / Tecnología (985)
Tecnología y Science (202)
Salud (555)
Deportes (837)
Entretenimiento (753)
Extras (417)
Movies (211)
Viajes, Vida y Estilo (680)
Copyright © 2024 Panorama Hispano News. All Rights Reserved.
crossmenuchevron-downmenu-circlecross-circle
linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram